India faces several economic challenges at present. Here are some of the major economic challenges:

• Slow economic growth: India’s growth rate has recently slowed down to its lowest in six years, mainly due to a slump in manufacturing and consumption demand.
• Unemployment: India is grappling with an unemployment crisis, with the jobless rate reaching a 45-year high in 2017-2018. The problem is accentuated by the lack of sufficient job creation in the formal sector.
• Income inequality: The rich-poor divide in India is among the highest in the world. About 22% of India’s population lives below the poverty line, with meager access to basic amenities.
• Fiscal deficit: India is facing a growing fiscal deficit, which refers to the difference between the government’s revenue and expenditure. The heavy borrowings made by the government to fund its deficit may lead to a debt crisis.
• Agricultural crisis: Indian farmers suffer low income, lack of irrigation and technology, uncertain weather conditions, and price fluctuations that go unaddressed. The agriculture industry comprises 50% of the workforce, indicating that their plight can drastically affect the economy.
• Other issues: The Indian economy faces other challenges such as inflation, high corporate debt, and low productivity.

India must tackle these challenges effectively to maintain its growth trajectory and enable inclusive growth for all its citizens.